Bitcoin Miner Iris Energy's Shares Plunge After Short-Seller Report

IconCryptoNewsTerminal Staff11 Jul, 2024

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Bitcoin Miner Iris Energy's Shares Plunge After Short-Seller Report

Bitcoin miner Iris Energy (NASDAQ: IREN) saw its shares plunge on Monday after research firm Culper Research published a short-seller report accusing the company of overvaluation, misrepresenting profitability, and allocating insufficient capital for AI goals. Culper's report alleges that Iris Energy is overvalued and exaggerates its profitability, leading to accusations of misleading investors. The research firm also questions the company's commitment to transitioning to artificial intelligence (AI), stating that its capital expenditures are inadequate for such an ambitious goal. Following the report's release, IREN shares closed down 24.5% at $10.36 on Monday. This significant decline reflects investor concerns raised by the short-seller's allegations. The report's findings have sparked questions about Iris Energy's financial health and its ability to achieve its stated goals. Investors are advised to exercise caution and conduct thorough research before making any investment decisions related to the company.

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